Big Bank Mortgage Trends Revealed
Three of the biggest mortgage originators have now released their fourth quarter income; this is how their mortgage portfolios performed.
Wells Fargo, Chase, and – most recently – the Bank of America have all released their respective fourth quarter earnings information, detailing how their mortgage share is changing.
Two divergent trends prevail; while two of the big banks saw their mortgage income follow a downward trajectory, one enjoyed a boom to its mortgage portolio.
Chase: Mortgage income falls
“Net revenue was $11.2 billion, an increase of 2%, driven by higher revenue in Card, Commerce Solutions & Auto, partially offset by lower Mortgage Banking revenue,” Chase said in its Q4 2015 results. “Mortgage banking net income was $266 million, a decrease of 21%.”
Wells Fargo: Trending downward
“Mortgage banking noninterest income was $1.7 billion, up $71 million from third quarter, primarily driven by higher net servicing income,” Wells Fargo said in its quarterly release. “During the fourth quarter, residential mortgage loan originations were $47 billion, down $8 billion linked quarter on seasonality.”
Bank of America: Mortgage business growing
BoA’s total mortgage production was up 13% in Q4 of 2015, according to the big bank’s earning’s release.
Its total mortgage production grew to $17 billion.